Assessing macadamia value chain gaps in Kenya: A case of Murang’a, Embu and Bungoma Counties

Abstract

Macadamia (Macadamia spp.) is an important high value cash crop in Kenya. This study sought to understand the existing gaps in the macadamia value chain in Kenya with a view of informing policy on how to enhance the value chain performance. The study was carried out in Murang’a, Embu, and Bungoma counties representing macadamia growing areas in Kenya. Data was collected from different value chain actors using a semi-structured questionnaire on various aspects of the value chain. The results show that macadamia crop is grown by both men and women farmers. The crop is becoming popular and has overtaken coffee in Murang’a and Embu Counties and maize in Bungoma County as a cash crop or source of household income.  Farmers mainly plant macadamia as an intercrop (76.2%) with fruit trees, coffee, tea, bananas and miraa among other tree crops. Most farmers (65.5%) have planted grafted macadamia. Seedlings are sourced from KALRO, macadamia buying/processing company nurseries, roadside nurseries and individual farmer nurseries. Farmers’ reported yields of 67-179 kg per tree/year with Murang’a having the highest average yield of 82 kg/tree per year. Farmers sell mainly to brokers (middlemen) but they are also selling to macadamia buying or processing companies within or outside the counties. Farmers reported being exploited by the brokers and companies who were the main decision makers on the price setting of the nuts. Most farmers (72%) were aware of the opening dates for harvesting of macadamia nuts but this was not keenly being followed. The key challenges to macadamia crop included theft of the nuts, non-involvement of farmers in setting of the nuts prices, poor market prices, lack of policy guidelines on the production and marketing systems, unstructured and unregulated markets and marketing systems. These challenges if managed are expected to enhance the value chain performance, which will improve livelihood of the actors. It is therefore recommended that stakeholders should work together to resolve the identified challenges for the benefit of the value chain. A market-based solution that can resolve the identified challenges is encouraged.

Keywords: Macadamia, varieties, seed type, seedling, yields, marketing, challenges, information